Cash boost for millions of Aussies
Written by admin on June 3, 2024
Quarterly indexation changes to income thresholds will boost the social security payments for nearly 2.4 million Australian households and pensioners.
The changes will come into affect from July 1, in order to ensure the government support keeps pace with inflation.
Extensions to current income and asset limits mean payments will increase for five schemes, including the Family Tax Benefit (both Parts A and B), the Multiple Birth Allowance, Newborn Supplement, Stillborn Baby Payment, and Essential Medical Equipment payment.
For families with children under 13 years of age on the Family Tax Benefit Part A, maximum fortnightly payments will increase to $222.04, or an increase of $8.68.
Households with children over the age of 13 could get a maximum fortnightly payment of $288.82 – a rise of $11.34.
The supplement for Family Tax Benefit Part A will also grow by $36.50 to $916.15, and by $18.25 to $448.95 for households on the Family Tax Benefit Part B payment.
Indexation changes will also increase the income thresholds for people under the Parental Leave Pay.
Income eligibility requirements will also be expanded for people on the Parenting Payment Single, the Age Pension, Disability Support Pension, and Carer Payment.
Assets limits for people on the Jobseeker Payment, Special Benefit, ABSTUDY, Austudy, Youth Allowance, Parenting Payment will also be increased.
The 2024-25 budget also announced that deeming rates, which calculate earnings from investments and determine whether someone can access payments, will remain at 2022 levels for another year.
Budget papers said 876,000 income support recipients, including 450,000 age pensioners would benefit from the decision.
Social Services Minister Amanda Rishworth said the indexation changes would delivery “timely boosts” for people receiving the payments and pensions.
“These increases will provide a direct boost to fortnightly payments for families,” she said.
Quarterly indexation changes are calculated using changes to the Consumer Price Index.
The most recent figures showed inflation had risen by 3.6 per cent in the 12 months to the March 2024 quarter, with the biggest increases in tertiary and secondary education (6.5 per cent and 6.1 per cent respectively), medical and hospital services (2.3 per cent), and rents (2.1 per cent).
